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![Page 1: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/1.jpg)
Analysis of Expenditure Changes post-Act 59 – Initial
Findings
Prepared for the Arkansas Senate
Office for Education PolicyUniversity of Arkansaswww.uark.edu/ua/oep/
March 21, 2006
![Page 2: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/2.jpg)
Slide 2 Gary Ritter & Joshua Barnett
Office for Education
Policy
Note Regarding Initial Findings• These findings are only preliminary and are based on the data
available at the time of publication.• We do have some concern with the 2003-04 revenue and
expenditure categories.• The bulk of the data presented here rely on current
expenditures, and it is possible that the growth in current expenditures is overstated by as much as $300 per pupil (our original estimates revealed increases of $1,200 per pupil, which may be revised down to $900 per pupil).
• Overall the figures may be changed, however, we believe the trends found in the following tables, where the increases in funding were targeted towards more disadvantaged students, remain correct.
• We anticipate having corrected figures and resubmitting them to the Legislature by May 1, 2006.
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Slide 3 Gary Ritter & Joshua Barnett
Office for Education
Policy
Motivating Questions• Act 59 increased resources for education in
Arkansas• Two overarching questions:
1. Where did the $ go?2. Did performance improve?
• First Set of Analyses: 1. Did overall funding increase?2. Are funds targeted toward more disadvantaged districts?3. Have teacher salaries increased?4. Are there any early signs of performance improvement?
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Slide 4 Gary Ritter & Joshua Barnett
Office for Education
Policy
Overview of Changes in Spending: Preliminary Results
• Property Tax Revenue up 9%
• State General Revenue up 23%
• Total Revenue up 26%
• Current Expenditures up 13%
![Page 5: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/5.jpg)
Slide 5 Gary Ritter & Joshua Barnett
Office for Education
Policy
II. Composition of Revenue
30%
48%
4%
16%2%
2003-04 2004-05
28%
54%
6%
12% 0% Property TaxRevenue
State Revenue (equaid)
State Revenue (Cat& other)
Federal Revenue
Other
![Page 6: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/6.jpg)
Slide 6 Gary Ritter & Joshua Barnett
Office for Education
Policy
Questions
• Have funds been targeted to students who have been disadvantaged in the past in Arkansas?
• How are resources allocated to the average:• High Poverty Student?
• Non-White Student?
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Slide 7 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures per Pupil (no transportation)
Student Group
2003-04 2004-05 Change
All Students
$6,045 $7,218 + 1,173
NSLA Students
$5,893 $7,379 + 1,486
Non-White Students
$6,372 $7,912 + 1,540
![Page 8: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/8.jpg)
Slide 8 Gary Ritter & Joshua Barnett
Office for Education
Policy
Targeted Spending Questions?
• Are more disadvantaged districts receiving more resources?• Lowest wealth districts increased by 22% (High Wealth
10%)• Highest poverty districts increased by 23% (Low Poverty
19%)
• Funds are targeted so that these districts receive higher levels of school funding:• Districts with more NSLA students• Districts with more non-white students• Districts with more students struggling in ACTAAP• Districts with declining enrollments
![Page 9: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/9.jpg)
Slide 9 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures (minus transportation) by Assessed Valuation Per Pupil
$6,612
$5,715
$6,743
$7,484
$4,000
$5,000
$6,000
$7,000
$8,000
$9,000
$10,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
Low Wealth High Wealth
The red line has “flattened” and resources distributed more evenly by wealth
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Slide 10 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures (minus transportation) by Percent of NSLA Students
$6,493
$5,439
$6,457
$8,166
$4,000
$4,500
$5,000
$5,500
$6,000
$6,500
$7,000
$7,500
$8,000
$8,500
$9,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
87% NSLA27% NSLA
Incr
ease Districts
with more NSLA students have more resources and more new resources
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Slide 11 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures (minus transportation) by Percent of Non-White Students
$6,933
$5,159
$6,809
$7,878
$4,000
$4,500
$5,000
$5,500
$6,000
$6,500
$7,000
$7,500
$8,000
$8,500
$9,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
68 - 87% non-white1.5 - 3.5% non-white
Districts with more minority students continue to have more resources
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Slide 12 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures (minus transportation) by Percent Proficient or Above on ACTAAP
$5,532
$6,672
$7,895
$6,774
$4,000
$5,000
$6,000
$7,000
$8,000
$9,000
$10,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
67% Pro+Adv27% Pro+Adv
Districts with the most failing students are targeted with additional resources
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Slide 13 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures (minus transportation) by District Growth Rate
$5,729
$6,689
$8,115
$6,819
$4,000
$4,500
$5,000
$5,500
$6,000
$6,500
$7,000
$7,500
$8,000
$8,500
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
-22% enrollment +20% enrollment
Districts with declining enrollment have more new resources
Incr
ease
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Slide 14 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Targeted Funds
NSLA funding is helping to drive the resources targeted toward more disadvantaged districts
Patterns on each of the figures that follow show clear trends in which the neediest districts receive the most resources
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Slide 15 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Categorical Funds per Pupil by District Growth Rate
$0$0
$857
$249
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
-22% enrollment +20% enrollment
![Page 16: Analysis of Expenditure Changes post-Act 59 – Initial Findings Prepared for the Arkansas Senate Office for Education Policy University of Arkansas](https://reader036.fdocuments.in/reader036/viewer/2022062423/56649ed25503460f94be2299/html5/thumbnails/16.jpg)
Slide 16 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Categorical Funds per Pupil by Assessed Valuation Per Pupil
$0$0
$418
$201
$0
$100
$200
$300
$400
$500
$600
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
Low Wealth High Wealth
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Slide 17 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Categorical Funds per Pupil by Percent of NSLA Students
$0$0
$128
$1,049
$0
$200
$400
$600
$800
$1,000
$1,200
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
27% NSLA 87% NSLA
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Slide 18 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Categorical Funds per Pupil by Percent of Non-White Students
$0$0
$272
$1,141
$0
$200
$400
$600
$800
$1,000
$1,200
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
1.5 - 3.5% non-white 68 - 87% non-white
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Slide 19 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Categorical Funds per Pupil by Percent Proficient or Above on ACTAAP
$0$0
$921
$170
$0
$100
$200
$300
$400
$500
$600
$700
$800
$900
$1,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
27% Pro+Adv 67% Pro+Adv
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Slide 20 Gary Ritter & Joshua Barnett
Office for Education
Policy
NSLA Categorical Funds per Pupil by District Size
$0$0
$526
$286
$0
$100
$200
$300
$400
$500
$600
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
375 enrollment 7,800 enrollment
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Slide 21 Gary Ritter & Joshua Barnett
Office for Education
Policy
District Size Question ?
• How much was spent in the average “small” school district (or rural school district) before and after Act 59?
• Current Expenditures 2003-04 = $6,294
• Current Expenditures 2004-05 = $7,516
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Slide 22 Gary Ritter & Joshua Barnett
Office for Education
Policy
Current Expenditures (minus transportation) by District Size
$6,729$6,877
$7,836
$7,491
$4,000
$4,500
$5,000
$5,500
$6,000
$6,500
$7,000
$7,500
$8,000
$8,500
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
2005-06 B
375 enrollment 7,800 enrollment
Incr
ease
Biggest increases for small and mid-sized districts
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Slide 23 Gary Ritter & Joshua Barnett
Office for Education
Policy
Teacher Salary Questions ?
• Did beginning teacher salaries change?• New teacher salary 2003-04 = $27,218• New teacher salary 2004-05 = $30,070
• Did average teacher salaries change?• Average teacher salary 2003-04 = $39,409• Average teacher salary 2004-05 = $41,489
• In what type of districts have beginning teacher salaries changed? • Small Districts (10% in smallest, 5% overall)
• Poor Districts (7% in poorest, 5% overall)
10%
5%
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Slide 24 Gary Ritter & Joshua Barnett
Office for Education
Policy
Average Teacher Salary by District Size
$44,043
$31,858
$35,939
$45,174
$20,000
$25,000
$30,000
$35,000
$40,000
$45,000
$50,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
375 enrollment 7,800 enrollment
Biggest increases on the left side of the figure in the small districts
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Slide 25 Gary Ritter & Joshua Barnett
Office for Education
Policy
Average Teacher Salary by Assessed Valuation Per Pupil
$41,487
$37,051
$39,924
$43,540
$20,000
$25,000
$30,000
$35,000
$40,000
$45,000
$50,000
G1 G2 G3 G4 G5 G6 G7 G8 G9 G10
10 Decile Groups
2003-04
2004-05
$32,000 per pupil $122,000 per pupil
Biggest increases on the left side of the figure in the less wealthy districts
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Slide 26 Gary Ritter & Joshua Barnett
Office for Education
Policy
Results of Spending
• Since Act 59 – expenditures increased overall (by 13%) and particularly in districts with high minority and high poverty students.
• Of course, the ultimate objective of these targeted increases is to improve student performance.
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Slide 27 Gary Ritter & Joshua Barnett
Office for Education
Policy
• Scored at or just below the national average on the 2005 4th and 8th grade math and literacy NAEP exams
• One of only two states to make significant improvement on 4th and 8th grade math and literacy NAEP exams (1992-2005 4th grade; 1998-2005 8th grade)
NAEP Advances
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Slide 28 Gary Ritter & Joshua Barnett
Office for Education
Policy
*
*
NAEP – Grade 4 Mathematics
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Slide 29 Gary Ritter & Joshua Barnett
Office for Education
Policy
*
NAEP – Grade 4 Reading
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Slide 30 Gary Ritter & Joshua Barnett
Office for Education
Policy
*
NAEP – Grade 8 Mathematics
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Slide 31 Gary Ritter & Joshua Barnett
Office for Education
Policy
NAEP – Grade 8 Reading
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Slide 32 Gary Ritter & Joshua Barnett
Office for Education
Policy
• 108% increase in Advanced Placement exam participation from 2003-04 to 2004-05.
• Highest yearly percent increase in AP exam participation rates in the 50-year history of AP.
Recognition for AP Offerings
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Slide 33 Gary Ritter & Joshua Barnett
Office for Education
Policy
• The resources appear to be in place, now what?
• Now, our challenge appears to finding effective and innovative ways to employ the additional resources to improve student performance.
Final Thoughts
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Slide 34 Gary Ritter & Joshua Barnett
Office for Education
Policy
How to Contact:
Gary W. RitterAssociate Professor of Education PolicyDirector, Office for Education PolicyDepartment of Education ReformUniversity of ArkansasFayetteville, AR 72701http://www.uark.edu/ua/oep/[email protected]